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The rapid emergence of legal weed throughout the United States and Canada is fueling a global economy centered around the green plant. Investments, acquisitions and innovations in the industry are contributing to a $15 billion valuation that analysts predict the cannabis market will yield in 2019.

A recent report indicates that worldwide cannabis sales could top $14.9 billion this year, suggesting 36 percent growth from last year. “The State of Legal Cannabis Markets” annual report for 2019 spotlights the “Total Cannabinoid Market.” This year’s report is the seventh edition and it reveals fascinating insights into the evolution of the industry and its financial appeal for investors.

CBD will contribute to global cannabis sales and industry growth

(Pictured) CEO of Arcview, Troy Dayton

According to the report, CBD has aided the industry’s colossal expansion, with data firm BDS Analytics and cannabis investment firm ArcView Group joining forces to pinpoint exactly which avenues of the industry are the biggest catalysts for growth.

Industry insiders claim that certain developments in the legal cannabis industry are steering the market’s valuation higher, such as the passing of Bill C-45 in Canada, the legalization of hemp-derived CBD in the U.S. under the 2018 Farm Bill and the fact that Epidiolex – a CBD-based medication – has received FDA approval.

“These decisions being made at the federal level put pharmacies and general retailers in the business of selling CBD-based products in all 50 states, which substantially boosted the [projections],” said the CEO of ArcView, Troy Dayton, in a statement.

Global cannabis sales are estimated to reach $44.8 billion by 2024

ArcView and BDS provided sales revenue projections for the global cannabis industry, estimating that global sales will top $44.8 billion within the next five years. The analysts say that CBD sales will account for approximately half of this estimated figure, with the majority of sales coming from dispensaries, cannabis retail stores, and pharmacies.

Examples of some cannabis industry developments that will likely trigger a spike in market value include the legalization of cannabis in Canada in 2018 and the country’s $5 billion industry valuation, as well as the many new cannabis markets that are currently transpiring throughout Europe and Latin America.

Let’s not forget about the ongoing efforts to legalize cannabis at the federal level in the U.S. Congress either, not to mention the fact that more states like Arizona, Maryland, and New Jersey have just legalized pot for recreational purposes.